Salvage value is not considered directly in the determination of the deprecation amount with the
A) straight-line method.
B) declining-balance method.
C) sum-of-the-years'-digit method.
D) units-of-production method.

Question

Quizplus · Accepted Answer

The declining-balance method does not directly consider salvage value in calculating depreciation; it applies a constant rate to the book value of the asset, which decreases over time.

Salvage Value Is Not Considered Directly in the Determination of the Deprecation